Worldwide comparable systemwide constant dollar RevPAR rose 2.1 percent in the 2017 third quarter, while North American comparable systemwide constant dollar RevPAR rose 0.4 percent;The company added nearly 22,800 rooms during the third quarter, including more than 3,600 rooms converted from competitor brands and roughly 8,000 rooms in international markets;At quarter-end, Marriott's worldwide development pipeline increased to approximately 450,000 rooms, including 41,000 rooms approved, but not yet subject to signed contracts;Third quarter reported net income totaled $392 million, a 460 percent increase over prior year results. Third quarter adjusted net income totaled $413 million, a 20 percent increase over prior year combined results;

Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) totaled $831 million in the quarter, a 64 percent increase over third quarter 2016 adjusted EBITDA and a 7 percent increase over third quarter 2016 combined adjusted EBITDA;Marriott repurchased 7.8 million shares of the company's common stock for $800 million during the third quarter. Year-to-date through November 7, the company repurchased 23.9 million shares for $2.4 billion.

On September 23, 2016, Marriott completed its acquisition of Starwood Hotels & Resorts Worldwide (Starwood). The discussion in the first section below reflects reported results for the third quarter in accordance with US generally accepted accounting principles (GAAP). To further assist investors, the company is also providing (a) adjusted results that exclude merger-related adjustments; and (b) combined financials and selected performance information for 2016 that assume Marriott's acquisition of Starwood and Starwood's sale of its timeshare business had been completed on January 1, 2015, but use the estimated fair value of assets and liabilities as of the actual closing date of the acquisition. Combined results also reflect other adjustments as described below. Throughout this press release, the business associated with brands that were in Marriott's portfolio before the Starwood acquisition are referred to as "Legacy-Marriott", while the Starwood business and brands that the company acquired are referred to as "Legacy-Starwood."

Branding fees from credit cards and residential sales are reported in the Franchise fees line on the income statement. Prior to the first quarter of 2017, those fees were reported in Owned, leased and other revenue. Reported results for the 2016 periods on pages A-1 and A-2 and combined results on pages A-3 and A-4 have been reclassified to conform to the current reporting.

Arne M. Sorenson, president and chief executive officer of Marriott International, said, "In the third quarter, many of our hotels were rocked by destructive hurricanes in the Caribbean, Texas, and Florida and the earthquakes in Mexico. Our hotels in these markets continue to serve aid workers and emergency personnel, as well as guests displaced by property damage. We are very proud of our associates who delivered great hospitality during this challenging time.

"The business related to the hurricane response increased North American lodging demand modestly in the third quarter, even as business transient and group demand was in line with expectations. Outside North America, strong leisure demand in Asia and Europe drove RevPAR above our guidance.

"Owners and franchisees remain attracted to our terrific brands and strong hotel economics. New project signings and approvals added 36,000 rooms to our development pipeline in the third quarter, increasing it to a record 450,000 rooms by the quarter-end, equal to 36 percent of our current distribution. More than half of those rooms under development are located outside North America and 40 percent should fly one of Marriott's luxury or upper upscale flags.

"It's been just over a year since the completion of the Starwood acquisition. We are pleased with our progress on the integration. Our properties and general and administrative functions have already realized meaningful cost savings. From the date of the acquisition through last week, we have recycled assets totaling more than $1.1 billion of our $1.5 billion goal. Year-to-date through November 7, we have already returned $2.7 billion to shareholders through dividends and share repurchase and believe we could return nearly $3.5 billion in 2017.

"For 2018, we expect comparable systemwide RevPAR on a constant dollar basis will increase 1 to 3 percent worldwide and 3 to 5 percent outside North America, while RevPAR in North America should be flat to up 2 percent. Group revenue pace for our North American full-service hotels is up nearly 2 percent.

"We anticipate our number of rooms will increase roughly 7 percent, gross, in 2018, while rooms deletions should total 1 to 1.5 percent during the year."

Third Quarter 2017 GAAP - Financial Results As Reported

Marriott reported net income totaled $392 million in the 2017 third quarter, a 460 percent increase over 2016 third quarter net income of $70 million. Reported diluted earnings per share (EPS) was $1.04 in the quarter, a 300 percent increase from diluted EPS of $0.26 in the year-ago quarter.

Base management and franchise fees totaled $695 million in the 2017 third quarter, compared to $470 million in the year-ago quarter. The year-over-year increase in these fees is primarily attributable to the Starwood acquisition, higher RevPAR, unit growth and higher branding fees.

Third quarter worldwide incentive management fees increased to $136 million, compared to $81 million in the year-ago quarter. The year-over-year increase was largely attributable to the Starwood acquisition.

Owned, leased, and other revenue, net of direct expenses, totaled $96 million in the 2017 third quarter, compared to $45 million in the year-ago quarter. The year-over-year increase is primarily attributable to the Starwood acquisition, partially offset by lower results in Brazil due to the Olympics in the year-ago quarter.

Depreciation, amortization, and other expenses totaled $68 million in the third quarter, compared to $36 million in the year-ago quarter. The year-over-year increase is primarily attributable to the Starwood acquisition.

General, administrative, and other expenses for the 2017 third quarter totaled $199 million, compared to $161 million in the year-ago quarter. The year-over-year increase is primarily attributable to the Starwood acquisition, inclusive of general administrative cost savings from combined company synergies.

Interest expense, net, totaled $64 million in the third quarter compared to $46 million in the year-ago quarter. The increase largely reflects a higher commercial paper balance, higher Senior Note balances due to debt assumed in the Starwood acquisition, which the company subsequently exchanged for new Marriott Senior Notes, partially offset by the maturity of Series I Senior Notes.

Equity in earnings for the 2017 third quarter totaled $6 million, compared to $3 million in the year-ago quarter. The year-over-year increase is primarily attributable to the Starwood acquisition.

The provision for income taxes totaled $188 million in the third quarter, a 32.4 percent effective tax rate, compared to $61 million in the year-ago quarter, a 46.6 percent effective tax rate. The provision for the third quarter of 2017 includes a $6 million tax benefit resulting from the adoption of Accounting Standards Update 2016-09 ("ASU 2016-09"), which changes the GAAP reporting of excess tax benefits associated with employee stock-based compensation. In the third quarter of 2016, income before taxes included $237 million of merger-related costs, most of which were incurred in jurisdictions with lower tax rates.

For the third quarter, adjusted EBITDA totaled $831 million, a 64 percent increase over third quarter 2016 adjusted EBITDA of $506 million. See page A-12 for the adjusted EBITDA calculation.

This information is being presented to allow shareholders to more easily compare the 2017 third quarter adjusted results with the combined results for the third quarter of 2016. The combined results assume Marriott's acquisition of Starwood and Starwood's sale of its timeshare business had been completed on January 1, 2015, but use the estimated fair value of assets and liabilities as of the actual closing date of the acquisition.

Combined results for the 2016 third quarter discussed in this section make the following assumptions: (1) removes merger-related adjustments; (2) adjusts income taxes to reflect the company's combined 2016 effective tax rate of 32.5 percent; (3) adjusts weighted average shares outstanding to include shares issued to Starwood shareholders; and (4) adjusts debt to reflect borrowing on the Credit Facility and issuance of Series Q and R Notes on January 1, 2015. Adjusted results for the 2017 third quarter exclude merger-related adjustments. See page A-3 for the calculation of adjusted results, as well as combined results for the year-ago quarter.

Third quarter 2017 adjusted net income totaled $413 million, a 20 percent increase over 2016 third quarter combined net income of $344 million. Adjusted net income for the third quarter of 2017 excludes $22 million ($21 million after-tax) of merger-related adjustments. Adjusted diluted EPS in the third quarter totaled $1.10, a 26 percent increase from combined diluted EPS of $0.87 in the year-ago quarter.

Base management and franchise fees totaled $695 million in the third quarter of 2017, an 8 percent increase over combined base management and franchise fees of $644 million in the year-ago quarter. The year-over-year increase largely reflects higher RevPAR, unit growth and an increase in branding fees.

Third quarter incentive management fees increased to $136 million, compared to combined fees of $127 million in the 2016 third quarter. The year-over-year increase was largely due to higher net house profit at many properties outside North America.

Adjusted owned, leased, and other revenue, net of direct expenses, totaled $94 million, compared to combined revenue, net of direct expenses of $116 million in the year-ago quarter. The adjusted year-over-year decrease largely reflects the impact of hotels previously sold and lower results in Brazil and New York, partially offset by stronger results at other owned and leased hotels and $9 million of favorable purchase accounting revisions. Combined revenue, net of expenses, for the third quarter of 2016 included $15 million of results from hotels subsequently sold.

Adjusted depreciation, amortization, and other expenses for the 2017 third quarter totaled $70 million, compared to combined expenses of $81 million in the year-ago quarter. The year-over-year decrease was largely due to hotels previously sold or properties moved to assets held for sale.

Adjusted general, administrative, and other expenses for the 2017 third quarter totaled $201 million, compared to combined expenses of $237 million in the year-ago quarter. The decrease in expenses year-over-year was largely due to general and administrative cost savings and $4 million of favorable purchase accounting revisions.

Interest expense, net, totaled $64 million in the third quarter, compared to combined net expense of $69 million in the year-ago quarter. The decrease was largely due to the maturity of Series I Senior Notes.

The adjusted provision for income taxes totaled $189 million in the third quarter, a 31.4 percent effective rate, compared to the combined provision for taxes of $166 million in the 2016 third quarter, a 32.5 percent effective rate. The adjusted provision for the third quarter of 2017 includes a $5 million tax benefit resulting from the adoption of ASU 2016-09.

For the third quarter, adjusted EBITDA totaled $831 million, a 7 percent increase over third quarter 2016 combined adjusted EBITDA of $775 million. Combined adjusted EBITDA for the third quarter of 2016 included $15 million of results from hotels subsequently sold. See page A-12 for the adjusted EBITDA and combined adjusted EBITDA calculations.

Third Quarter 2017 Financial Results As Adjusted Compared to August 7, 2017 Guidance

On August 7, 2017, the company estimated total fee revenue for the third quarter would be $810 million to $825 million. Actual total fee revenue of $831 million in the quarter was higher than estimated, largely reflecting RevPAR at the high end of the guidance range, better than expected branding fees, favorable foreign exchange and $3 million of previously deferred incentive management fees.

Marriott estimated owned, leased, and other revenue, net of direct expenses, for the third quarter would total approximately $75 million. Actual adjusted results of $94 million in the quarter were higher than estimated, largely due to $9 million of favorable purchase accounting revisions, $4 million of termination fees and better than expected results at hotels in Canada.

The company estimated general, administrative, and other expenses for the third quarter would total approximately $215 million to $220 million. Actual adjusted expenses of $201 million in the quarter were lower than expected largely due to a $6 million state tax incentive, $4 million of favorable purchase accounting revisions, and timing.

The company estimated interest expense, net, for the third quarter would total approximately $60 million. Actual net expense of $64 million in the quarter was higher than expected, largely due to $3 million of unfavorable purchase accounting revisions.

The company estimated gains and other income for the third quarter would total approximately $0 million. Actual gains of $6 million in the quarter were higher than expected, largely due to a settlement with tax authorities related to the sale of Starwood properties in 2008.

Selected Performance Information

Combined information for the 2016 third quarter presented in this section assumes Marriott's acquisition of Starwood and Starwood's sale of its timeshare business had been completed on January 1, 2015.

The company added 138 new properties (22,772 rooms) to its worldwide lodging portfolio during the 2017 third quarter, including The St. Regis, Astana in Kazakhstan, the Bulgari Hotel Beijing, and the Weligama Bay Marriott Resort & Spa, the company's first hotel in Sri Lanka. Twenty-seven properties (4,700 rooms) exited the system during the quarter. At quarter-end, Marriott's lodging system encompassed 6,401 properties and timeshare resorts with more than 1,239,000 rooms.

At quarter-end, the company's worldwide development pipeline totaled 2,622 properties with approximately 450,000 rooms, including 975 properties with more than 175,000 rooms under construction and 222 properties with 41,000 rooms approved for development, but not yet subject to signed contracts.

In the 2017 third quarter, 64 percent of worldwide company-managed hotels earned incentive management fees. In North America, 55 percent of company-managed hotels earned incentive management fees in the quarter, while 72 percent of company-managed hotels outside North America earned incentive management fees. In addition, the company earned 64 percent of its incentive management fees in the 2017 third quarter at properties outside North America.

Worldwide comparable company-operated house profit margins increased 40 basis points in the third quarter, largely due to higher RevPAR, solid cost controls and synergies from the Starwood acquisition. House profit margins for comparable company-operated properties outside North America rose 130 basis points, while North American comparable company-operated house profit margins declined 20 basis points in the third quarter. These house profit margin statistics compare the third quarter of 2017 to combined comparable company-operated house profit margins for the third quarter of 2016.

Balance Sheet

At quarter-end, Marriott's total debt was $8,669 million and cash balances totaled $508 million, compared to $8,506 million in debt and $858 million of cash at year-end 2016.

Marriott Common Stock

Weighted average fully diluted shares outstanding used to calculate reported diluted EPS totaled 376.6 million in the 2017 third quarter, compared to 270.5 million shares in the year-ago quarter. Weighted average fully diluted shares outstanding used to calculate combined diluted EPS totaled 394.4 million in the 2016 third quarter.

The company repurchased 7.8 million shares of common stock in the third quarter at a cost of $800 million at an average price of $103.01. Year-to-date through November 7, the company has repurchased 23.9 million shares for $2.4 billion at an average price of $98.17.

OUTLOOK

The following outlook for the fourth quarter and full year 2017 does not include merger-related adjustments, which the company cannot accurately forecast, but could total roughly $150 million on a full-year basis.

Branding fees from credit cards and residential sales are reported in the Franchise fees line on the income statement. Prior to the first quarter of 2017, those fees were reported in Owned, leased and other revenue. In 2016, combined fees from credit cards and residential sales totaled $60 million in the fourth quarter and $210 million for the full year. Application fees, relicensing fees and timeshare royalties will continue to be included in the Franchise fees line. Comparisons to prior year combined results throughout this Outlook section reflect this change in reporting. On February 15, 2017, the company issued further schedules setting forth combined quarterly and full year combined financial information for both 2015 and 2016 that reflect this change in presentation, and included those schedules in a Form 8-K filed on that date. Those schedules are available on Marriott's Investor Relations website at http://www.marriott.com/investor.

For the 2017 fourth quarter, Marriott expects comparable systemwide RevPAR on a constant dollar basis will increase 2 to 3 percent in North America. The company's guidance for fourth quarter RevPAR growth in North America reflects the shift of the Jewish holidays, which occurred in the third quarter of 2017 compared to the fourth quarter of 2016. The company expects fourth quarter comparable systemwide RevPAR on a constant dollar basis will increase 3 to 5 percent outside North America and 2 to 3 percent worldwide.

Marriott expects fourth quarter 2017 owned, leased, and other revenue, net of direct expenses, could total approximately $90 million. This estimate reflects the negative impact of hotels previously sold, including the Sheraton Centre Toronto.

The company anticipates general, administrative, and other expenses for the fourth quarter will total $240 million to $245 million. Compared to the expense estimates the company provided on August 7, these estimates reflect expenses delayed from the third quarter.

Marriott expects fourth quarter 2017 adjusted EBITDA could total $762 million to $777 million. This estimate reflects the negative impact of hotels previously sold. See page A-13 for the adjusted EBITDA calculation.

For the full year 2017, Marriott expects comparable systemwide RevPAR on a constant dollar basis for the combined company will increase 1 to 2 percent in North America, roughly 5 percent outside North America and 2 to 3 percent worldwide.

Marriott anticipates gross room additions of nearly 7 percent and room deletions of 1 to 1.5 percent for full year 2017.

The company assumes full year 2017 total fee revenue will total $3,287 million to $3,297 million. Compared to the total fee revenue estimates the company provided on August 7, these fee revenue estimates reflect the outperformance in the third quarter, higher worldwide RevPAR guidance and higher branding and relicensing fees.

Marriott expects full year 2017 owned, leased, and other revenue, net of direct expenses, could total approximately $367 million. This estimate reflects the negative impact of hotels previously sold. Compared to the owned, leased and other revenue, net of direct expenses, estimates the company provided on August 7, these estimates reflect the outperformance in the third quarter, partially offset by the impact of the sale of the Sheraton Centre Toronto.

Marriott expects full year 2017 adjusted EBITDA could total $3,177 million to $3,192 million. This estimate reflects the negative impact of hotels previously sold. See page A-14 for the adjusted EBITDA calculation.

Fourth Quarter 2017

Full Year 2017

Total fee revenue1

$825 million to $835 million

$3,287 million to $3,297 million

Owned, leased, and other revenue, net of direct expenses1

Approx. $90 million

Approx. $367 million

Depreciation, amortization, and other expenses

Approx. $70 million

Approx. $288 million

General, administrative, and other expenses

$240 million to $245 million

$877 million to $882 million

Operating income

$600 million to $615 million

$2,485 million to $2,500 million

Gains and other income

Approx. $0 million

Approx. $31 million

Net interest expense2

Approx. $65 million

Approx. $257 million

Equity in earnings (losses)

Approx. $5 million

Approx. $34 million

Earnings per share3

$0.98 to $1.00

$4.22 to $4.24

Tax rate4

33.2 percent

30.2 percent

1Beginning in the first quarter of 2017, the company reports credit card and residential branding fees in Franchise fees revenue. Prior to first quarter of 2017, those fees were reported in Owned, leased and other revenue. Combined credit card and residential branding fees totaled $60 million in the Fourth Quarter of 2016 and $210 million for Full Year 2016. 2Net of interest income 3Guidance for Full Year 2017 EPS includes the $0.13 expected favorable impact from the adoption of ASU 2016-09. 4The tax rate guidance for Full Year 2017 includes the $51 million benefit from the adoption of ASU 2016-09, but does not include the impact of merger-related adjustments that have been or may be made. Without the benefit from adoption of ASU 2016-09, the anticipated tax rate for Full Year 2017 would be 33.0 percent.The company expects investment spending in 2017 will total approximately $550 million to $650 million, including approximately $175 million for maintenance capital. Investment spending also includes other capital expenditures (including property acquisitions), new mezzanine financing and mortgage notes, contract acquisition costs, and equity and other investments. Assuming this level of investment spending and no additional asset sales, nearly $3.5 billion could be returned to shareholders through share repurchases and dividends in 2017.

The company plans to continue to disclose adjusted results and EBITDA that exclude merger-related costs and charges arising from the Starwood acquisition.

Marriott International, Inc. (NASDAQ: MAR) will conduct its quarterly earnings review for the investment community and news media on Wednesday, November 8, 2017 at 10:00 a.m. Eastern Time (ET). The conference call will be webcast simultaneously via Marriott's investor relations website at http://www.marriott.com/investor, click the "Recent and Upcoming Events" tab and click on the quarterly conference call link. A replay will be available at that same website until November 8, 2018.

The telephone dial-in number for the conference call is 706-679-3455 and the conference ID is 86389048. A telephone replay of the conference call will be available from 1:30 p.m. ET, Wednesday, November 8, 2017 until 11:00 p.m. ET, Wednesday, November 15, 2017. To access the replay, call 404-537-3406. The conference ID for the recording is 86389048.

Note on forward-looking statements: This press release and accompanying schedules contain "forward-looking statements" within the meaning of federal securities laws, including RevPAR, profit margin and earnings trends, estimates and assumptions; the number of lodging properties we expect to add to or remove from our system in the future; our expectations about investment spending; and similar statements concerning anticipated future events and expectations that are not historical facts. We caution you that these statements are not guarantees of future performance and are subject to numerous risks and uncertainties, including those we identify below and other risk factors that we identify in our most recent quarterly report on Form 10-Q. Risks that could affect forward-looking statements in this press release include changes in market conditions; changes in global and regional economies; supply and demand changes for hotel rooms; competitive conditions in the lodging industry; relationships with clients and property owners; the availability of capital to finance hotel growth and refurbishment; and the extent to which we are able to continue successfully integrating Starwood and realize the anticipated benefits of combining Starwood and Marriott. Any of these factors could cause actual results to differ materially from the expectations we express or imply in this press release. We make these forward-looking statements as of November 7, 2017. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

CONSOLIDATED STATEMENTS OF INCOME - AS REPORTEDTHIRD QUARTER 2017 AND 2016

(in millions except per share amounts, unaudited)

As Reported

As Reported

Percent

Three Months Ended

Three Months Ended

Better/(Worse)

September 30, 2017

September 30, 2016

Reported 2017 vs. 2016

REVENUES

Base management fees

$ 269

$ 180

49

Franchise fees 1

426

290

47

Incentive management fees

136

81

68

Total Fees

831

551

51

Owned, leased, and other revenue 2

452

239

89

Cost reimbursements 3

4,380

3,152

39

Total Revenues

5,663

3,942

44

OPERATING COSTS AND EXPENSES

Owned, leased, and other - direct 4

356

194

(84)

Reimbursed costs

4,380

3,152

(39)

Depreciation, amortization, and other 5

68

36

(89)

Merger-related costs and charges

28

228

88

General, administrative, and other 6

199

161

(24)

Total Expenses

5,031

3,771

(33)

OPERATING INCOME

632

171

270

Gains and other income, net 7

6

3

100

Interest expense

(73)

(55)

(33)

Interest income

9

9

-

Equity in earnings 8

6

3

100

INCOME BEFORE INCOME TAXES

580

131

343

Provision for income taxes

(188)

(61)

(208)

NET INCOME

$ 392

$ 70

460

EARNINGS PER SHARE

Earnings per share - basic

$ 1.05

$ 0.26

304

Earnings per share - diluted

$ 1.04

$ 0.26

300

Basic Shares

372.3

266.2

Diluted Shares

376.6

270.5

1 Franchise fees include fees from our franchise agreements, application and relicensing fees, licensing fees from our timeshare, credit card programs, and residential branding fees. Beginning in the 2017 first quarter, we reclassified branding fees for third-party residential sales and credit card licensing to the "Franchise fees" caption from the "Owned, leased, and other" caption. We adjusted prior amounts to conform to current period presentation.

2 Owned, leased, and other revenueincludes revenue from the properties we own or lease, termination fees, and other revenue.

4 Owned, leased, and other - directexpenses include operating expenses related to our owned or leased hotels, including lease payments and pre-opening expenses.

5 Depreciation, amortization, and other expenses include depreciation for fixed assets, amortization of capitalized costs incurred to acquire management, franchise, and license agreements, and any related impairments, accelerations, or write-offs.

6 General, administrative, and other expenses include our corporate and business segments overhead costs and general expenses.

7 Gains and other income, net includes gains and losses on the sale of real estate, the sale or other-than-temporary impairment of joint ventures and investments, and results from cost method investments.

8 Equity in earnings include our equity in earnings or losses of unconsolidated equity method investments.

A-1

MARRIOTT INTERNATIONAL, INC.

CONSOLIDATED STATEMENTS OF INCOME - AS REPORTEDTHIRD QUARTER YEAR-TO-DATE 2017 AND 2016

(in millions except per share amounts, unaudited)

As Reported

As Reported

Percent

Nine Months Ended

Nine Months Ended

Better/(Worse)

September 30, 2017

September 30, 2016

Reported 2017 vs. 2016

REVENUES

Base management fees

$ 818

$ 538

52

Franchise fees 1

1,207

813

48

Incentive management fees

437

276

58

Total Fees

2,462

1,627

51

Owned, leased, and other revenue 2

1,349

650

108

Cost reimbursements 3

13,208

9,339

41

Total Revenues

17,019

11,616

47

OPERATING COSTS AND EXPENSES

Owned, leased, and other - direct 4

1,069

533

(101)

Reimbursed costs

13,208

9,339

(41)

Depreciation, amortization, and other 5

218

97

(125)

Merger-related costs and charges

100

250

60

General, administrative, and other 6

635

470

(35)

Total Expenses

15,230

10,689

(42)

OPERATING INCOME

1,789

927

93

Gains and other income, net 7

31

3

933

Interest expense

(216)

(159)

(36)

Interest income

24

22

9

Equity in earnings 8

29

8

263

INCOME BEFORE INCOME TAXES

1,657

801

107

Provision for income taxes

(486)

(265)

(83)

NET INCOME

$ 1,171

$ 536

118

EARNINGS PER SHARE

Earnings per share - basic

$ 3.09

$ 2.08

49

Earnings per share - diluted

$ 3.06

$ 2.04

50

Basic Shares

378.5

258.3

Diluted Shares

383.2

262.7

1 Franchise fees include fees from our franchise agreements, application and relicensing fees, licensing fees from our timeshare, credit card programs, and residential branding fees. Beginning in the 2017 first quarter, we reclassified branding fees for third-party residential sales and credit card licensing to the "Franchise fees" caption from the "Owned, leased, and other" caption. We adjusted prior amounts to conform to current period presentation.

2 Owned, leased, and other revenue includes revenue from the properties we own or lease, termination fees, and other revenue.

4 Owned, leased, and other - directexpenses include operating expenses related to our owned or leased hotels, including lease payments and pre-opening expenses.

5 Depreciation, amortization, and other expenses include depreciation for fixed assets, amortization of capitalized costs incurred to acquire management, franchise, and license agreements, and any related impairments, accelerations, or write-offs.

6 General, administrative, and other expenses include our corporate and business segments overhead costs and general expenses.

7 Gains and other income, net includes gains and losses on the sale of real estate, the sale or other-than-temporary impairment of joint ventures and investments, and results from cost method investments.

8 Equity in earnings include our equity in earnings or losses of unconsolidated equity method investments.

A-2

MARRIOTT INTERNATIONAL, INC.

ADJUSTED/COMBINED STATEMENTS OF INCOME

THIRD QUARTER ADJUSTED 2017 COMPARED TO COMBINED 2016

(in millions except per share amounts, unaudited)

Percent

As Reported

Less:

As Adjusted **

Combined10 **

Better/(Worse)

Three Months Ended

Merger-related

Three Months Ended

Three Months Ended

Adjusted 2017 vs.

September 30, 2017

Adjustments 9

September 30, 2017

September 30, 2016

Combined 2016

REVENUES

Base management fees

$ 269

$ -

$ 269

$ 266

1

Franchise fees 1

426

-

426

378

13

Incentive management fees

136

-

136

127

7

Total Fees

831

-

831

771

8

Owned, leased, and other revenue 2

452

3

449

499

(10)

Cost reimbursements 3

4,380

-

4,380

4,384

-

Total Revenues

5,663

3

5,660

5,654

-

OPERATING COSTS AND EXPENSES

Owned, leased, and other - direct 4

356

1

355

383

7

Reimbursed costs

4,380

-

4,380

4,384

-

Depreciation, amortization, and other 5

68

(2)

70

81

14

Merger-related costs and charges

28

28

-

-

-

General, administrative, and other 6

199

(2)

201

237

15

Total Expenses

5,031

25

5,006

5,085

2

OPERATING INCOME / (LOSS)

632

(22)

654

569

15

Gains and other income, net 7

6

-

6

6

-

Interest expense

(73)

-

(73)

(80)

9

Interest income

9

-

9

11

(18)

Equity in earnings 8

6

-

6

4

50

INCOME / (LOSS) BEFORE INCOME TAXES

580

(22)

602

510

18

(Provision) benefit for income taxes

(188)

1

(189)

(166)

(14)

NET INCOME / (LOSS)

$ 392

$ (21)

$ 413

$ 344

20

EARNINGS PER SHARE

Earnings per share - basic

$ 1.05

$ 1.11

$ 0.88

26

Earnings per share - diluted

$ 1.04

$ 1.10

$ 0.87

26

Basic Shares

372.3

372.3

388.9

Diluted Shares

376.6

376.6

394.4

** Denotes non-GAAP financial measures. See pages A-15 and A-16 for more information about these non-GAAP measures.

4 Owned, leased, and other - directexpenses include operating expenses related to our owned or leased hotels, including lease payments and pre-opening expenses.

5 Depreciation, amortization, and other expenses include depreciation for fixed assets, amortization of capitalized costs incurred to acquire management, franchise, and license agreements,

and any related impairments, accelerations, or write-offs.

6 General, administrative, and other expenses include our corporate and business segments overhead costs and general expenses.

7 Gains and other income, net includes gains and losses on the sale of real estate, the sale or other-than-temporary impairment of joint ventures and investments, and results from cost method

investments.

8 Equity in earnings include our equity in earnings or losses of unconsolidated equity method investments.

9 The adjusted consolidated statements of income are presented before the impact of merger-related adjustments.

10 For basis of presentation of 2016 combined financial information, see the Form 8-K relating to our unaudited combined financial information that we filed with the U.S Securities and Exchange

Commission on February 15, 2017.

A-3

MARRIOTT INTERNATIONAL, INC.

ADJUSTED/COMBINED STATEMENTS OF INCOME

THIRD QUARTER YEAR-TO-DATE ADJUSTED 2017 COMPARED TO COMBINED 2016

(in millions except per share amounts, unaudited)

Percent

As Reported

Less:

As Adjusted **

Combined10 **

Better/(Worse)

Nine Months Ended

Merger-related

Nine Months Ended

Nine Months Ended

Adjusted 2017 vs.

September 30, 2017

Adjustments 9

September 30, 2017

September 30, 2016

Combined 2016

REVENUES

Base management fees

$ 818

$ -

$ 818

$ 804

2

Franchise fees 1

1,207

-

1,207

1,082

12

Incentive management fees

437

-

437

413

6

Total Fees

2,462

-

2,462

2,299

7

Owned, leased, and other revenue 2

1,349

3

1,346

1,455

(7)

Cost reimbursements 3

13,208

-

13,208

13,273

-

Total Revenues

17,019

3

17,016

17,027

-

OPERATING COSTS AND EXPENSES

Owned, leased, and other - direct 4

1,069

-

1,069

1,138

6

Reimbursed costs

13,208

-

13,208

13,273

-

Depreciation, amortization, and other 5

218

1

217

242

10

Merger-related costs and charges

100

100

-

-

-

General, administrative, and other 6

635

(2)

637

730

13

Total Expenses

15,230

99

15,131

15,383

2

OPERATING INCOME / (LOSS)

1,789

(96)

1,885

1,644

15

Gains (losses) and other income, net 7

31

-

31

(24)

229

Interest expense

(216)

-

(216)

(237)

9

Interest income

24

-

24

28

(14)

Equity in earnings 8

29

-

29

23

26

INCOME / (LOSS) BEFORE INCOME TAXES

1,657

(96)

1,753

1,434

22

(Provision) benefit for income taxes

(486)

27

(513)

(467)

(10)

NET INCOME / (LOSS)

$ 1,171

$ (69)

$ 1,240

$ 967

28

EARNINGS PER SHARE

Earnings per share - basic

$ 3.09

$ 3.28

$ 2.49

32

Earnings per share - diluted

$ 3.06

$ 3.24

$ 2.45

32

Basic Shares

378.5

378.5

388.8

Diluted Shares

383.2

383.2

394.4

** Denotes non-GAAP financial measures. See pages A-15 and A-16 for more information about these non-GAAP measures.

1 Franchise fees include fees from our franchise agreements, application and relicensing fees, licensing fees from our timeshare, credit card programs, and residential branding fees. Beginning in the 2017 first quarter, we reclassified branding fees for third-party residential sales and credit card licensing to the "Franchise fees" caption from the "Owned, leased, and other" caption. We adjusted prior amounts to conform to current period presentation.

2 Owned, leased, and other revenue includes revenue from the properties we own or lease, termination fees, and other revenue.

5 Depreciation, amortization, and other expenses include depreciation for fixed assets, amortization of capitalized costs incurred to acquire management, franchise, and license agreements, and any related impairments, accelerations, or write-offs.

6 General, administrative, and other expenses include our corporate and business segments overhead costs and general expenses.

7 Gains (losses) and other income, net includes gains and losses on the sale of real estate, the sale or other-than-temporary impairment of joint ventures and investments, and results from cost method investments.

8 Equity in earnings include our equity in earnings or losses of unconsolidated equity method investments.

9 The adjusted consolidated statements of income are presented before the impact of merger-related adjustments.

10 For basis of presentation of 2016 combined financial information, see the Form 8-K relating to our unaudited combined financial information that we filed with the U.S Securities and Exchange Commission on February 15, 2017.

A-4

MARRIOTT INTERNATIONAL, INC.

TOTAL LODGING PRODUCTS

As of September 30, 2017

North America

Total International

Total Worldwide

Units

Rooms

Units

Rooms

Units

Rooms

Managed

835

252,379

1,040

279,097

1,875

531,476

JW Marriott Hotels

15

9,709

47

18,925

62

28,634

The Ritz-Carlton Hotels

40

11,764

54

14,947

94

26,711

The Ritz-Carlton Residences

34

4,538

9

625

43

5,163

The Ritz-Carlton Serviced Apartments

5

697

5

697

Luxury Collection

5

2,294

48

8,230

53

10,524

W Hotels

26

7,950

24

5,661

50

13,611

W Residences

9

1,078

6

532

15

1,610

St. Regis

10

1,990

31

7,049

41

9,039

St. Regis Residences

6

467

6

516

12

983

EDITION Hotels

2

567

2

699

4

1,266

EDITION Residences

1

25

1

25

Bulgari Hotels & Resorts

3

237

3

237

Bulgari Residences

1

5

1

5

Marriott Hotels

131

69,576

159

46,313

290

115,889

Sheraton

30

23,208

184

63,155

214

86,363

Sheraton Residences

2

262

2

262

Westin

46

25,127

68

21,844

114

46,971

Westin Residences

1

65

1

264

2

329

Renaissance Hotels

28

12,134

50

16,188

78

28,322

Le Meridien

4

720

73

20,200

77

20,920

Autograph Collection Hotels

3

989

6

1,456

9

2,445

Delta Hotels and Resorts

25

6,764

25

6,764

Gaylord Hotels

5

8,108

5

8,108

Marriott Executive Apartments

28

4,195

28

4,195

Tribute Portfolio

3

559

3

559

Courtyard

254

40,429

79

16,723

333

57,152

Residence Inn

106

16,207

5

517

111

16,724

Fairfield Inn & Suites

6

1,432

16

2,344

22

3,776

SpringHill Suites

30

4,854

30

4,854

Four Points

1

134

61

14,921

62

15,055

TownePlace Suites

15

1,740

15

1,740

Aloft

1

330

28

6,726

29

7,056

Protea Hotels

36

4,265

36

4,265

Element

1

180

4

933

5

1,113

Moxy Hotels

1

109

1

109

A-5

MARRIOTT INTERNATIONAL, INC.

TOTAL LODGING PRODUCTS

As of September 30, 2017

North America

Total International

Total Worldwide

Units

Rooms

Units

Rooms

Units

Rooms

Franchised

3,798

553,100

451

96,612

4,249

649,712

JW Marriott Hotels

10

4,425

6

1,624

16

6,049

The Ritz-Carlton Hotels

1

429

1

429

The Ritz-Carlton Residences

1

55

1

55

Luxury Collection

9

1,891

37

6,868

46

8,759

Luxury Collection Residences

1

91

1

64

2

155

Bulgari Hotels & Resorts

1

85

1

85

Marriott Hotels

212

66,137

48

13,297

260

79,434

Sheraton

161

47,765

60

17,075

221

64,840

Westin

80

26,262

24

7,432

104

33,694

Westin Residences

2

201

2

201

Renaissance Hotels

58

16,323

27

7,441

85

23,764

Le Meridien

18

4,286

15

4,022

33

8,308

Autograph Collection Hotels

70

15,247

45

10,838

115

26,085

Delta Hotels and Resorts

22

5,267

22

5,267

Tribute Portfolio

15

4,733

8

797

23

5,530

Courtyard

714

95,110

58

10,986

772

106,096

Residence Inn

627

73,883

3

287

630

74,170

Fairfield Inn & Suites

870

79,399

4

755

874

80,154

SpringHill Suites

352

40,464

352

40,464

Four Points

137

20,900

43

6,743

180

27,643

TownePlace Suites

314

31,510

314

31,510

Aloft

96

14,235

12

1,928

108

16,163

Protea Hotels

45

3,343

45

3,343

Element

25

3,581

2

293

27

3,874

Moxy Hotels

3

906

12

2,734

15

3,640

Owned/Leased

31

9,613

37

10,024

68

19,637

JW Marriott Hotels

1

496

1

496

The Ritz-Carlton Hotels

2

553

2

553

Luxury Collection

3

465

3

465

W Hotels

1

509

2

665

3

1,174

St. Regis

1

238

1

160

2

398

Marriott Hotels

3

1,664

5

1,625

8

3,289

Sheraton

3

2,671

6

2,866

9

5,537

Westin

1

1,073

1

246

2

1,319

Renaissance Hotels

1

317

3

749

4

1,066

Tribute Portfolio

1

135

1

135

Courtyard

19

2,814

3

644

22

3,458

Residence Inn

1

192

1

140

2

332

Protea Hotels

9

1,415

9

1,415

Unconsolidated Joint Ventures

25

4,423

96

12,086

121

16,509

Autograph Collection Hotels

6

419

6

419

AC Hotels by Marriott

25

4,423

90

11,667

115

16,090

Timeshare*

70

18,117

18

3,770

88

21,887

Marriott Vacations Worldwide

51

11,249

14

2,355

65

13,604

Vistana

19

6,868

4

1,415

23

8,283

Grand Total

4,759

837,632

1,642

401,589

6,401

1,239,221

*Timeshare property and room counts are included on this table in their geographical locations. For external reporting purposes, these counts are captured in the Corporate segment.

A-6

MARRIOTT INTERNATIONAL, INC.

TOTAL LODGING PRODUCTS

As of September 30, 2017

North America

Total International

Total Worldwide

Total Systemwide

Units

Rooms

Units

Rooms

Units

Rooms

Luxury

172

48,020

290

69,103

462

117,123

JW Marriott Hotels

25

14,134

54

21,045

79

35,179

The Ritz-Carlton Hotels

41

12,193

56

15,500

97

27,693

The Ritz-Carlton Residences

35

4,593

9

625

44

5,218

The Ritz-Carlton Serviced Apartments

5

697

5

697

Luxury Collection

14

4,185

88

15,563

102

19,748

Luxury Collection Residences

1

91

1

64

2

155

W Hotels

27

8,459

26

6,326

53

14,785

W Residences

9

1,078

6

532

15

1,610

St. Regis

11

2,228

32

7,209

43

9,437

St. Regis Residences

6

467

6

516

12

983

EDITION Hotels

2

567

2

699

4

1,266

EDITION Residences

1

25

1

25

Bulgari Hotels & Resorts

4

322

4

322

Bulgari Residences

1

5

1

5

Full Service

920

338,772

822

241,243

1,742

580,015

Marriott Hotels

346

137,377

212

61,235

558

198,612

Sheraton

194

73,644

250

83,096

444

156,740

Sheraton Residences

2

262

2

262

Westin

127

52,462

93

29,522

220

81,984

Westin Residences

3

266

1

264

4

530

Renaissance Hotels

87

28,774

80

24,378

167

53,152

Le Meridien

22

5,006

88

24,222

110

29,228

Autograph Collection Hotels

73

16,236

57

12,713

130

28,949

Delta Hotels and Resorts

47

12,031

47

12,031

Gaylord Hotels

5

8,108

5

8,108

Marriott Executive Apartments

28

4,195

28

4,195

Tribute Portfolio

16

4,868

11

1,356

27

6,224

Limited Service

3,597

432,723

512

87,473

4,109

520,196

Courtyard

987

138,353

140

28,353

1,127

166,706

Residence Inn

734

90,282

9

944

743

91,226

Fairfield Inn & Suites

876

80,831

20

3,099

896

83,930

SpringHill Suites

382

45,318

382

45,318

Four Points

138

21,034

104

21,664

242

42,698

TownePlace Suites

329

33,250

329

33,250

Aloft

97

14,565

40

8,654

137

23,219

AC Hotels by Marriott

25

4,423

90

11,667

115

16,090

Protea Hotels

90

9,023

90

9,023

Element

26

3,761

6

1,226

32

4,987

Moxy Hotels

3

906

13

2,843

16

3,749

Timeshare*

70

18,117

18

3,770

88

21,887

Marriott Vacations Worldwide

51

11,249

14

2,355

65

13,604

Vistana

19

6,868

4

1,415

23

8,283

Grand Total

4,759

837,632

1,642

401,589

6,401

1,239,221

*Timeshare property and room counts are included on this table in their geographical locations. For external reporting purposes, these counts are captured in the Corporate segment.

A-7

MARRIOTT INTERNATIONAL, INC.

COMBINED KEY LODGING STATISTICS

In Constant $

Comparable Company-Operated North American Properties

Three Months Ended September 30, 2017 and September 30, 2016

REVPAR

Occupancy

Average Daily Rate

Brand

2017

vs. 2016*

2017

vs. 2016*

2017

vs. 2016*

JW Marriott

$149.62

-2.9%

75.4%

-1.0%

pts.

$198.35

-1.5%

The Ritz-Carlton

$242.43

1.8%

73.4%

0.0%

pts.

$330.37

1.8%

W Hotels

$241.20

-3.3%

84.6%

-0.6%

pts.

$284.93

-2.6%

Composite North American Luxury1

$229.18

-0.9%

77.9%

-0.6%

pts.

$294.09

-0.1%

Marriott Hotels

$145.20

-0.8%

78.1%

0.0%

pts.

$185.79

-0.8%

Sheraton

$156.57

-0.5%

80.1%

-0.6%

pts.

$195.55

0.3%

Westin

$179.58

-0.8%

80.6%

-0.5%

pts.

$222.86

-0.2%

Composite North American Upper Upscale2

$150.81

-0.4%

78.7%

-0.2%

pts.

$191.62

-0.1%

North American Full-Service3

$164.62

-0.6%

78.6%

-0.3%

pts.

$209.52

-0.2%

Courtyard

$105.21

-0.5%

75.6%

0.0%

pts.

$139.10

-0.5%

Residence Inn

$130.82

-0.8%

83.8%

0.0%

pts.

$156.16

-0.8%

Composite North American Limited-Service4

$110.81

-0.5%

78.0%

-0.1%

pts.

$142.07

-0.3%

North American - All5

$147.91

-0.5%

78.4%

-0.2%

pts.

$188.69

-0.2%

Comparable Systemwide North American Properties

Three Months Ended September 30, 2017 and September 30, 2016

REVPAR

Occupancy

Average Daily Rate

Brand

2017

vs. 2016*

2017

vs. 2016*

2017

vs. 2016*

JW Marriott

$157.22

-0.7%

76.8%

-0.4%

pts.

$204.83

-0.1%

The Ritz-Carlton

$242.43

1.8%

73.4%

0.0%

pts.

$330.37

1.8%

W Hotels

$241.20

-3.3%

84.6%

-0.6%

pts.

$284.93

-2.6%

Composite North American Luxury1

$220.67

-0.2%

78.2%

-0.3%

pts.

$282.23

0.2%

Marriott Hotels

$128.24

-0.3%

75.1%

-0.5%

pts.

$170.87

0.4%

Sheraton

$123.23

-0.9%

77.4%

-0.8%

pts.

$159.29

0.1%

Westin

$162.47

-0.4%

80.0%

-1.1%

pts.

$203.02

0.9%

Composite North American Upper Upscale2

$134.65

-0.3%

76.7%

-0.6%

pts.

$175.53

0.5%

North American Full-Service3

$143.65

-0.3%

76.9%

-0.6%

pts.

$186.88

0.5%

Courtyard

$108.12

0.8%

76.9%

0.5%

pts.

$140.53

0.1%

Residence Inn

$125.47

0.4%

83.6%

0.0%

pts.

$150.14

0.4%

Fairfield Inn & Suites

$89.87

2.5%

77.2%

1.7%

pts.

$116.37

0.3%

Composite North American Limited-Service4

$105.89

1.2%

79.0%

0.5%

pts.

$134.10

0.6%

North American - All5

$122.69

0.4%

78.0%

0.0%

pts.

$157.23

0.4%

* The 2016 statistics used to calculate change from the 2016 period to the 2017 period assume Marriott's acquisition of Starwood and Starwood's sale of its timeshare business had been completed on January 1, 2015.

1 Includes JW Marriott, The Ritz-Carlton, W Hotels, The Luxury Collection, St. Regis, and EDITION.

5 Includes North American Full-Service and North American Limited-Service.

A-8

MARRIOTT INTERNATIONAL, INC.

COMBINED KEY LODGING STATISTICS

In Constant $

Comparable Company-Operated International Properties

Three Months Ended September 30, 2017 and September 30, 2016

REVPAR

Occupancy

Average Daily Rate

Region

2017

vs. 2016*

2017

vs. 2016*

2017

vs. 2016*

Greater China

$92.60

10.6%

75.1%

6.6%

pts.

$123.30

0.9%

Rest of Asia Pacific

$119.30

6.2%

77.0%

3.5%

pts.

$154.99

1.4%

Asia Pacific

$102.03

8.7%

75.8%

5.5%

pts.

$134.67

0.8%

Caribbean & Latin America

$109.80

0.0%

63.8%

1.7%

pts.

$172.08

-2.6%

Europe

$172.62

8.0%

79.9%

3.0%

pts.

$216.16

3.9%

Middle East & Africa

$84.98

-0.7%

62.9%

0.9%

pts.

$135.13

-2.2%

Other International1

$131.58

4.8%

71.2%

2.1%

pts.

$184.69

1.7%

International - All2

$116.77

6.5%

73.5%

3.8%

pts.

$158.85

1.0%

Worldwide3

$132.65

2.4%

76.0%

1.7%

pts.

$174.54

0.0%

Comparable Systemwide International Properties

Three Months Ended September 30, 2017 and September 30, 2016

REVPAR

Occupancy

Average Daily Rate

Region

2017

vs. 2016*

2017

vs. 2016*

2017

vs. 2016*

Greater China

$92.38

10.6%

74.3%

6.6%

pts.

$124.33

0.8%

Rest of Asia Pacific

$120.83

5.3%

76.0%

2.5%

pts.

$159.00

1.8%

Asia Pacific

$104.50

7.9%

75.0%

4.8%

pts.

$139.29

1.0%

Caribbean & Latin America

$90.89

1.9%

62.6%

1.9%

pts.

$145.10

-1.2%

Europe

$153.25

8.7%

79.0%

3.7%

pts.

$194.03

3.7%

Middle East & Africa

$82.23

-0.3%

62.9%

1.1%

pts.

$130.70

-2.1%

Other International1

$121.56

5.9%

71.3%

2.6%

pts.

$170.42

2.0%

International - All2

$114.12

6.7%

72.9%

3.6%

pts.

$156.46

1.5%

Worldwide3

$120.22

2.1%

76.6%

1.1%

pts.

$157.02

0.7%

* The 2016 statistics used to calculate change from the 2016 period to the 2017 period assume Marriott's acquisition of Starwood and Starwood's sale of its timeshare business had been completed on January 1, 2015.

* The 2016 statistics used to calculate change from the 2016 period to the 2017 period assume Marriott's acquisition of Starwood and Starwood's sale of its timeshare business had been completed on January 1, 2015.

1 Includes JW Marriott, The Ritz-Carlton, W Hotels, The Luxury Collection, St. Regis, and EDITION.

5 Includes North American Full-Service and North American Limited-Service.

A-10

MARRIOTT INTERNATIONAL, INC.

COMBINED KEY LODGING STATISTICS

In Constant $

Comparable Company-Operated International Properties

Nine Months Ended September 30, 2017 and September 30, 2016

REVPAR

Occupancy

Average Daily Rate

Region

2017

vs. 2016*

2017

vs. 2016*

2017

vs. 2016*

Greater China

$87.22

8.2%

70.5%

6.7%

pts.

$123.64

-2.1%

Rest of Asia Pacific

$116.18

6.2%

75.0%

3.5%

pts.

$155.00

1.2%

Asia Pacific

$97.45

7.3%

72.1%

5.6%

pts.

$135.16

-1.0%

Caribbean & Latin America

$127.04

3.0%

65.7%

2.3%

pts.

$193.34

-0.6%

Europe

$141.85

7.3%

74.1%

2.2%

pts.

$191.47

4.0%

Middle East & Africa

$100.74

0.2%

64.4%

1.3%

pts.

$156.44

-1.8%

Other International1

$125.08

4.5%

69.3%

2.0%

pts.

$180.52

1.5%

International - All2

$111.22

5.7%

70.7%

3.8%

pts.

$157.32

0.1%

Worldwide3

$130.49

3.3%

73.9%

2.0%

pts.

$176.50

0.5%

Comparable Systemwide International Properties

Nine Months Ended September 30, 2017 and September 30, 2016

REVPAR

Occupancy

Average Daily Rate

Region

2017

vs. 2016*

2017

vs. 2016*

2017

vs. 2016*

Greater China

$87.34

8.4%

70.0%

6.7%

pts.

$124.80

-2.1%

Rest of Asia Pacific

$115.61

5.0%

74.2%

2.6%

pts.

$155.72

1.2%

Asia Pacific

$99.39

6.7%

71.8%

5.0%

pts.

$138.42

-0.7%

Caribbean & Latin America

$102.72

3.4%

63.9%

1.9%

pts.

$160.73

0.3%

Europe

$124.53

7.9%

72.0%

3.1%

pts.

$173.07

3.3%

Middle East & Africa

$96.97

0.5%

64.3%

1.5%

pts.

$150.86

-1.8%

Other International1

$112.71

5.3%

68.2%

2.4%

pts.

$165.18

1.6%

International - All2

$106.90

5.9%

69.8%

3.5%

pts.

$153.17

0.5%

Worldwide3

$115.99

2.6%

73.9%

1.2%

pts.

$156.96

0.9%

* The 2016 statistics used to calculate change from the 2016 period to the 2017 period assume Marriott's acquisition of Starwood and Starwood's sale of its timeshare business had been completed on January 1, 2015.

** Denotes non-GAAP financial measures. See pages A-15 and A-16 for information about our reasons for providing these alternative financial measures and the limitations on their use.

1Estimated 2017 net income excludes merger-related costs and charges, which the company cannot accurately forecast, but expects will be significant on a full-year basis.

2See page A-12 for a reconciliation of Combined Adjusted EBITDA.

A-14

MARRIOTT INTERNATIONAL, INC.

NON-GAAP FINANCIAL AND PERFORMANCE MEASURES

In our press release and schedules, and on the related conference call, we report certain financial measures that are not required by, or presented in accordance with, United States generally accepted accounting principles ("GAAP"). We discuss management's reasons for reporting these non-GAAP measures below, and the press release schedules reconcile the most directly comparable GAAP measure to each non-GAAP measure that we refer to. Although management evaluates and presents these non-GAAP measures for the reasons described below, please be aware that these non-GAAP measures have limitations and should not be considered in isolation or as a substitute for revenue, operating income, income from continuing operations, net income, earnings per share or any other comparable operating measure prescribed by GAAP. In addition, we may calculate and/or present these non-GAAP financial measures differently than measures with the same or similar names that other companies report, and as a result, the non-GAAP measures we report may not be comparable to those reported by others.

Adjusted Measures That Exclude Merger-Related Adjustments. Management evaluates certain non-GAAP measures that exclude transaction and transition costs and purchase accounting adjustments associated with the Starwood merger because those non-GAAP measures allow for period-over period comparisons of our ongoing operations before the impact of these items. These non-GAAP measures, which are reconciled to the comparable GAAP measures on pages A-3 and A-4, include adjusted owned, leased, and other revenue, adjusted owned, leased, and other-direct expenses, adjusted depreciation, amortization, and other expenses, adjusted general, administrative, and other expenses, adjusted provision for income taxes, and as a result of the adjustments, adjusted total revenues, adjusted total expenses, adjusted operating income, adjusted income before taxes, adjusted net income, and adjusted EPS. Non-GAAP adjusted net income and its components and adjusted EPS are not, and should not be viewed as, substitutes for net income and EPS as reported under GAAP.

Combined Financial Information. The 2016 unaudited combined financial information presented on pages A-3, A-4, A-12, A-13, and A-14 gives effect to Marriott's acquisition of Starwood, and Starwood's sale of its timeshare business, as if these two transactions (the "Transactions") had occurred on January 1, 2015, and is presented to facilitate comparisons with our results following the acquisition of Starwood. The unaudited combined financial information also uses the estimated fair value of assets and liabilities on September 23, 2016, the closing date of the acquisition (the "Merger Date"), and makes the following assumptions: (1) removes merger-related costs and charges; (2) adjusts income taxes to reflect the Company's combined 2016 effective tax rate of 32.5%; (3) adjusts weighted-average shares outstanding to include shares issued to Starwood shareholders; and (4) adjusts debt to reflect borrowing on the Credit Facility and issuance of Series Q and R Notes on January 1, 2015.

Marriott presents the combined financial information for informational purposes only and the combined financial information is not necessarily indicative of what the combined company's results of operations would actually have been had the Transactions been completed on the date indicated. In addition, the combined financial information does not purport to project the future operating results of the combined company.

Combined net income includes adjustments that are not prescribed by Article 11 of Regulation S-X. The following table presents a reconciliation of pro forma net income in accordance with Article 11 to combined net income presented on the previous pages.

2016

(in millions)

First Quarter

Second Quarter

Third Quarter

Year-to-Date

Total

Pro forma net income under Article 11

$ 291

$ 209

$ 179

$ 679

Merger-related costs and charges

3

16

220

239

Income taxes 1

(4)

17

(55)

(42)

Loss on cumulative translation adjustment

—

91

—

91

Combined net income

$ 290

$ 333

$ 344

$ 967

1 Combined net income applies an effective income tax rate of 32.5%. For pro forma net income under Article 11, we applied the historical effective tax rates for Marriott and Starwood.

Earnings Before Interest Expense, Taxes, Depreciation and Amortization ("EBITDA"), Adjusted EBITDA, and Combined Adjusted EBITDA. EBITDA reflects net income, excluding the impact of interest expense, depreciation, amortization, and provision for income taxes. Our non-GAAP measure of Adjusted EBITDA further adjusts EBITDA to exclude the pre-tax transaction and transition costs associated with the Starwood merger, which we recorded in the "Merger-related costs and charges" caption of our Consolidated Statements of Income (our "Income Statements"), gains and losses on asset dispositions, and share-based compensation expense for all periods presented.

Our 2016 non-GAAP measure of Combined Adjusted EBITDA also includes Starwood pre-acquisition and other adjustments, which assume the Transactions had been completed on January 1, 2015. These adjustments reflect Starwood's EBITDA, adjusted for merger-related costs and charges, net loss on asset dispositions, loss on cumulative translation adjustment, share-based compensation, and an assumed effective income tax rate for the combined company of 32.5% for the periods prior to the Merger Date.

A-15

MARRIOTT INTERNATIONAL, INC.

NON-GAAP FINANCIAL AND PERFORMANCE MEASURES

We believe that Adjusted EBITDA and Combined Adjusted EBITDA are meaningful indicators of our operating performance because they permit period-over-period comparisons of our ongoing core operations before these items and facilitate our comparison of results before these items with results from other lodging companies. We use such measures to evaluate companies because they exclude certain items that can vary widely across different industries or among companies within the same industry. For example, interest expense can be dependent on a company's capital structure, debt levels, and credit ratings. Accordingly, the impact of interest expense on earnings can vary significantly among companies. The tax positions of companies can also vary because of their differing abilities to take advantage of tax benefits and because of the tax policies of the jurisdictions in which they operate. As a result, effective tax rates and provisions for income taxes can vary considerably among companies. Our Adjusted EBITDA and Combined Adjusted EBITDA also exclude depreciation and amortization expense which we report under "Depreciation, amortization, and other" as well as depreciation included under "Reimbursed costs" in our Income Statements, because companies utilize productive assets of different ages and use different methods of both acquiring and depreciating productive assets. These differences can result in considerable variability in the relative costs of productive assets and the depreciation and amortization expense among companies. We also excluded share-based compensation expense in all periods presented in order to address considerable variability among companies in recording compensation expense because companies use share-based payment awards differently, both in the type and quantity of awards granted.

RevPAR. In addition to the foregoing non-GAAP financial measures, we present Revenue per Available Room ("RevPAR") as a performance measure. We believe RevPAR is a meaningful indicator of our performance because it measures the period-over-period change in room revenues for comparable properties. RevPAR may not be comparable to similarly titled measures, such as revenues. We calculate RevPAR by dividing room sales (recorded in local currency) for comparable properties by room nights available for the period. We present growth in comparative pro forma combined company RevPAR on a constant dollar basis, which we calculate by applying exchange rates for the current period to each period presented. We believe constant dollar analysis provides valuable information regarding our properties' performance as it removes currency fluctuations from the presentation of such results.

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